Travel News

Yahoo Updated Privacy Controls on Search, Pageviews

Yahoo will reduce the amount of time it holds on to user data to three months from just over one year. After that date, Yahoo will anonymize user log data within 90 days, with limited exceptions for fraud, security and legal obligations. Yahoo is also expanding its privacy policy beyond search log data to include info on pageviews, page clicks, ad views and ad clicks but is broadening 'opt out' controls covering targeted ads across its portal. The new policies are part of its response to a congressional inquiry about ad targeting sent to 33 companies, including AOL, Google and Microsoft as well as internet service providers such as Cablevision, Cox Communications and Charter Communications. Last September Google said it would reduce its user data after nine months.                                

Delta to Cut Capacity in 2009

Delta has laid out plans to cut capacity in 2009 by 8% to 10% on domestic routes and by 3% to 5% on international routes. The cuts will be made on routes that have the least fuel-efficient flights. The reason is, of course current economic global conditions and a decline in demand. American has already said it would be cutting domestic demand by about 8.5% in 2009 but would only cut international by about 1%.

Here's a New Concept on Selling Airline Seats

A new airline to be based in Durban, South Africa, is to launch its first flight on January 18, if all goes well. The airline is calling itself Airtime Airlines and will sell seats priced by the minute. Travelers will purchase tickets priced by the minute and the price per minute will not vary on different routes. Customers will be able to purchase a 'starter pack' of pre-paid minutes valid on all flights for up to a year. Any minutes not used would become valid on any of South Africa's cell networks. The airline will use an SMS-driven booking procedure. It’s certainly a different way of selling airline seats and I hope it works for them.

Will They Ever Learn?

The latest airline CEO to negotiate a golden parachute is CEO Dermot Mannion of Aer Lingus, a carrier that has not been doing well at all. The airline's board granted the bonus to Mannion. He would get the bonus if he leaves the airline, which is under a hostile bid by Ryanair. Ryanair CEO Michael O'Leary calls it a failure bonus. He also said, "It is extraordinary at a time when Aer Lingus is cutting jobs and pay that it is doing a secret deal with Dermot Mannion to award him 2.8 million pounds for failure which he alone can trigger simply by resigning.”

Carnival Says No Cuts to Agents Commission

Goldman Sachs has been suggesting that Carnival and other cruise companies cut agents commissions and beef up their own web sites for direct booking. CEO Micky Arison does not agree, saying now is the time to have a strong distribution system, agents are needed to sell Carnival's various brands across the country and agents would be supported as long as he is CEO of Carnival.

Another Man Overboard

There has been another man overboard incident, making it two in one week period.  This time it’s someone with the entertainment crew from the Sensation which was sailing off the coast near Vero Beach. Six people witnessed the incident so a search was initiated immediately and the Coast Guard notified. The ship was returning to Port Canaveral New Year's Day. The eyewitnesses said it was clearly an accident.

News is courtesy of ARTA Online.

Could 2009 Bring a Greater Role for Travel Agents?

According to the Ypartnership the answer is yes. The Ypartnership is a marketing, advertising and public relations agency serving travel, leisure, and entertainment clients. Recent research reveals that Americans intent to continue travelling with 71% of active travel households planning at least one overnight trip during the next six months, the same as one year ago. The Ypartnership says consumers will turn to travel agents more as more travelers place a higher value on the time it takes to surf through dozens of web sites to find the best price, than the fee they have to pay an agent to do it for them. The Ypartnership says consumers will turn to agents as they are "in the know" and a source for unadvertised deals. Consumers will demand more in exchange for what they pay and will not necessarily take the cheapest price. They want value for money, a good deal, and an all inclusive price.

Car Rental Companies are Feeling the Pinch

They have been busy raising rates, cutting back on workers, keeping cars longer and closing some airport locations. The companies have to keep their cars longer as the used car market is weak and resale values are low. Avis Budget Group has laid off about 7% of its workforce while Hertz laid off some 2,000 workers this year and Dollar thrifty also laid off workers and Advantage filed for bankruptcy in early December. Hertz said net income dropped by 94% during the first nine months of this year and rentals averaged a 2% drop in the number of days its cars were rented. Standard & Poor's said Dollar Thrifty "appears to be the most likely" of the big rental companies to file for bankruptcy in the near future. Last week Dollar Thrifty notified the New York Stock Exchange it was no longer in compliance with the continued listing standard of having a minimum average market capitalization in excess of $25 million for the 30 consecutive trading days ending December 22. The NYSE advised Dollar Thrifty they could loose their listing on the Exchange.

Air New Zealand's Trial Run a Success

Air New Zealand conducted a trial a few days ago using a 50-50 blend of oil from jatropha plants and standard jet fuel to power a jet engine. One engine of a Boeing 747-400 was powered with the blend. The flight was the first to use jatropha as part of a biofuel mix. Jatropha is a Mexican plant that grows in warm climates. Many biofuels, like ethanol which is produced from corn, have been blamed for raising the price of foods by diverting it from kitchen tables to engines. Biofuels emit as much carbon as kerosene-based fuel but jatropha absorbs about half the carbon that jatropha-based fuels release and jatropha plants would not compete with food or other commercial crops. It can grow on marginal land and needs little water. The tests were successful and will provide the company with important data to help jatropha become a certified aviation fuel. It will be another four to five years before enough fuel would be available for commercial use and Air New Zealand hopes that by 2013 10% of its flights will be powered, at least in part, by biofuels.

IATA Releases November Air Traffic Data

The figures show a 4.6% drop in international passenger traffic and a 13.5% drop in international cargo. International passenger traffic dropped by 1% but when compared to November of 07 the drop was 3%. The only bright spots were in Mid-Eastern and Latin American countries. Mid-Eastern traffic increased 5.6% and Latin American traffic increased by 3.3%. Asia-Pacific carriers had the largest decline in traffic with a decrease of 9.7% and North American traffic followed with a decline of 4.8%. IATA's Director General said, "With no end in sight for the worsening global economy, the 2008 gloom will carry over into the new year. Relief in the oil price has been outstripped by the fall in demand and capacity cuts are not keeping pace. The industry is back in intensive care, improving efficiency everywhere will be the theme for 2009.

Air France-KLM Group Negotiates for 25% of Alitalia

According to Bloomberg, Air France-KLM Group is in negotiations to purchase 25% of Alitalia for about $437 million. Shareholders of the two airlines agreed on December 23 on the terms and the signing could take place between January 8 and January 12.

Air France-KLM Group Sign Accord with Iraq

Air France-KLM Group and the transport minister for Iraq have signed a preliminary accord with Iraq to help Iraqi Airways offer service to European destinations and renovate Baghdad's airport. There are three points to the accord: technical, which covers technically enabling Iraqi Airways to code-share flights with Air France-KLM; assist Iraqi Airways to enable it to fly international flights, including Europe; revamp Baghdad's third terminal to international standards and the construction of airports in Iraq through investment companies. The Baghdad airport has been controlled by US troops but starting tomorrow the airport will be returned to Iraqi control.

Check Out Costa's Newest Ships

The Costa Luminosa and the Costa Pacifica are Costa's latest ships and they will be christened together at a huge event to be held in Genoa on June 5. You can now find out all about them as each one has their own individual web site so go to www.luminosa.costacruise.com and http://www.pacifica.costacruise.com/ for a sneak preview of the ships. See the stunning Costa Luminosa, the ship of light, with its trendsetting design and the stunning light and color effects. See the Costa Pacifica, the ship of music, which will have music as an integral part of the cruise experience.

Are Cruises to Cuba in Our Future?

President-elect Obama said in early campaign speech that there should be an end to the embargo although he later said his administration would have a less confrontational policy of dealing with Cuba and allow greater contacts and more frequent visits by Cuban immigrants, but wouldn't immediately end the embargo. Canada has never supported the embargo and Canadians represent the largest contingency of visitors to the island. Cruise lines would welcome the addition of Cuba to itineraries and opening up Cuba to cruise ships would be a shot in the arm for them to boost sales.

News is courtesy of ARTA Online.

Past Holiday Travel Was a Nightmare for 1 Million People

Because of weather problems from coast to coast some 1 million travelers were inconvenienced because of flight cancellations and delays. Nearly 8,000 flights were cancelled between December 19 and December 28. Bad weather was the main cause but there were also some 10% fewer seats than last year and so many flights were booked to capacity that thousands spent time at airports for a day or two and some even longer. Airports provided cots to thousands of travelers. FlightStats reported that on the busiest travel days of the 10 day period fewer than half of all flights arrived on time and more than 20% had excessive delays, longer than 45 minutes.

Kudos to Canadian Carrier WestJet for Looking After its Passengers

Canada suffered its worst holiday weather across the country in some 40 years, causing travel problems from coast to coast and causing numerous airports closures and record numbers of flight cancellations and delays. Stories are emerging about WestJet employees who went the extra mile just to get to work to help out stranded passengers. Office staff manned check-in counters and baggage belts. Today the airline told about its efforts to get everyone home for Christmas. Although airline Tariffs do not require airlines to provide meal vouchers or hotel accommodations for delays or cancellations because of weather, the airline felt otherwise. Stranded passengers were given meal vouchers, hotels and transfers. More than 5,000 hotel rooms were provided free of charge at a cost of more than $500,000. More than 25,000 meal vouchers were given to guests in airports at a cost of some $220,000. Another $250,000 was spent on ground transportation including taxis and chartered buses. Aircraft were chartered from third-party airlines at a cost of about $325,000 to assist in clearing the backlog of stranded guests. The Consumers Association of Canada received calls from passengers praising the airline that is Air Canada's main competitor while others filed complaints about Air Canada. The airline also helped Air Canada passengers by getting them on WestJet flights when Air Canada couldn't accommodate them. WestJet's CEO said, "I am enormously proud of WestJetters for their many acts of selflessness to help our guests. When you see executive vice-presidents flying aircraft on Christmas Day and so many others taking time away from their own family celebrations, you know you have a team of people who are completely focused on caring for our guests."

Frontier Posts November Profit

Bankrupt Frontier Airlines was able to post a net profit of $2.9 million and an operating profit or $2.5 million in November. The carrier has been in Chapter 11 bankruptcy since April and has to file a monthly operating report with the Bankruptcy Court. The airline had profits in July and August, and its cash position was $53.4 million at the end of November.

Northwest Postpones Seattle-Beijing Service

Northwest wants to postpone the start-up of their Seattle-Beijing Service from March of 2009 to March of 2010 and delay the start-up of new Detroit-Shanghai service from March 25 to June 9, 2009. The airline cited current economic problems affecting the global economy that are having an impact on demand for service to China. Year-end figures show demand dropped dramatically after the Summer Olympics and advance bookings for March were down some 30%. The airline filed the request to postpone and delay the flights with the Department of Transportation. American, Continental, United and US Airways who also won routes to China have also requested delays on start-up of service.

RiverBarge Excursion Lines, Inc Cancels 2009 Operations

RiverBarge Excursions lines sent out a letter that read, "We regret to inform you that RiverBarge Excursions Lines, Inc. has been forced to curtail all operations for 2009 due to economic conditions. We want to assure you that RiverBarge deposits all payments for excursions in a special escrow account at the Whitney National bank. This escrow account is overseen and regulated by the Federal Maritime Commission. As soon as these funds are made available to us, a refund will be processed. We at RiverBarge want to thank you for your support. We wish you success in 2009 and beyond."  The office will close as of January 15 and all refunds will be processed before then.

Hawaii's Cruise Industry Slows Down

A study by the Hawaiian tourism Authority shows the cruise industry in Hawaii lags behind other destinations in passenger volume, including the Caribbean, Alaska and Bermuda and is expected to grow only about 1.29% annually between 2009 and 2018. This is far lower than the national average. The study was ordered by the Hawaii Legislature two years ago and certainly proves NCL's wisdom in taking out two of the three cruise ships operating around the islands. Cruise calls have fallen by 47% in 2007 and 2008.

Search Called Off for Missing Passenger

The U.S. Coast Guard has called off the search for a passenger missing from the Norwegian Pearl. The Coast Guard and the Mexican Navy searched some 4,200 square miles. NCL said it was cooperating fully with the FBI who is investigating the cause of the female passengers who went overboard on Christmas Day when the ship was off the coast of Cancun.

Universal Hollywood Introduces a New All Access Pass

This new pass for 2009 is for repeat visitors and provides several perks, privileges and discounts for only $5 more that the price of a single-day admission. The pass offers unrestricted 365-day park access with no black out days, a dedicated VIP hassle-free express front gate entrance, Backlot Studio Tour priority boarding privileges for most of the year, plus many discounts on all food and merchandise purchases and $12 off the purchase of guest tickets. The pass also includes the world's first Theme Park Guarantee Rain Check. Guests visiting Universal Studios Hollywood will receive a rain check ticket valid for use any time in the following 30 days on a day that the park receives over 1/8 inches of rainfall by 2 p.m. Plus, on rainy days, guests will be provided with complimentary coffee and hot chocolate at designated covered and indoor rest areas. The 2009 All Access Pass, priced at $72, will be available for purchase beginning today at http://www.universalstudioshollywood.com/ and at the theme park ticket booths and will be sold from January to April 2009.

Indian Travel Agents Boycott Singapore Airlines

Travel agents in India are again boycotting an airline for cutting commission, this time Singapore Airlines. Anyone wanting to purchase a ticket must do it directly on the airline's web site or another online travel portal. The boycott comes two months after Singapore and other major carriers stopped paying travel agents a 5% commission on the base fare. Agents previously mounted a boycott against Jet Airways and won that battle.

Department of State Issues Revised Travel Warning for India

"The Department of State warns U.S. citizens that there is a high threat of terrorism throughout India, and advises U.S. citizens traveling to or already in India to maintain a high level of vigilance and to take appropriate steps to increase their security awareness, especially during the end-of-year holidays until India's Republic Day, January 26. This Travel Alert expires on January 31, 2009 and replaces that issued on December 19 to provide updated information regarding the security situation. "The November 26 terrorist attack in Mumbai was carried out at venues frequented by Americans. That attack killed 170 persons (including six Americans and 16 other non-Indians) and injured 300. Future attacks may also target public places frequented by Westerners, including in large cities and tourist areas. In response to perceived threats of terror attacks there, the Government of Goa has restricted beach parties and other large outdoor gatherings from December 23 to January 5.

"The U.S. Mission is concerned that increased political tension between Pakistan and India may further complicate travel in areas near their already-sensitive border. In addition, the Department of Defense has increased its security requirements for all its employees visiting India.

"Because of the number and diversity of terror attacks in India during the past two years, Americans in India should be vigilant about security at all times. They should monitor local news, vary their routes and times, and consider the level of security when visiting public places, such as religious sites, hotels, restaurants, or entertainment and recreation venues. U.S. citizens should keep a low profile, avoid crowds and demonstrations, and maintain valid travel documents. Finally, travelers should plan on added time to account for increased security, especially at hotels and airports."

November Figures for Hotel Occupancy Down Again

Data released by Smith Travel Research shows a 12.9% industry-wide decrease in revenue per available room compared to November of 2007. It was worse for luxury hotels whose revenue dropped 20.7%. For "upper upscale" chain hotels the decrease was 13.7%, for "upscale" hotels the decrease was 12.8%, for "midscale without food and beverage the decrease was 11.1% and for economy hotels the decrease was 9.6%. The figures show that economy hotels are holding up much better than the more upscale properties.

Southwest Hints at Codeshare Cities

In a filing with the Securities Exchange Commission, Southwest said that they have not yet finalized itineraries which they will codeshare with WestJet. They did say that based on the existing route systems of both carriers, codeshare service will likely be offered on domestic segments operated by Southwest to/from Las Vegas, Orlando and Tampa, connecting to transborder flights to/from Calgary, Toronto or Vancouver. The two airlines signed an agreement that will allow them to start codesharing late in 2009. The airlines had previously signed a Memorandum of Understanding last July.

Qantas Offers a Fare Sale

Qantas is offering a fare starting at $998 roundtrip to Australia or New Zealand from Los Angeles or San Francisco. Tickets must be purchased by January 19 and travel is anytime between January 29 and 21 September, 2009. Taxes and fees are extra. Travel starts before the launch of V Australia and pretty much matches their introductory fares.

Stowaway Seabird Ends Up in Fort McMurray

The seabird, a black guillemot usually found in the Atlantic Ocean, travelled in a private plane to Fort McMurray in northern Alberta. He set a record for flight time without having to even flap its wings. It surprised airport workers when it hopped out of the hold of the plane. The bird was in good condition and taken to the Medicine River Wildlife Centre.

Fuel Hedging Now Costing Many Airlines

Airlines are happy fuel costs have dropped but some are hurting because they hedged fuel at much higher prices and now have to pay the difference. Hedges are mainly derivatives used by companies to lock in the price of fuel in advance and protect airlines from price volatility. The amount of hedge-related losses is determined by the type of derivative an airline uses and what obligations are built into the hedge. The airlines account for the losses in different ways and at different times. If the market price falls below the present price floor, hedges become worthless and may even force carriers to pay more than market price. It cost United and US Airways about $2 billion in accounting losses for their hedge positions in the third quarter. American is hedged for 34% of its fuel at prices equivalent to $71 to $99 per barrel for 2009 while United has hedged 28% of its fuel equating to $101 to $114 per barrel and Southwest has hedged 75% of its fuel at $73 a barrel. If fuel costs remain in the area of today it will cost the airlines a lot of money in the coming year.

Seatrade Insider Reports Sale of NCL America

Seatrade Insider reports that Star Cruises has sold its interest in NCL America, the company that operates the Pride of America, to NCL Corp for an unspecified sum but thought to be about $500 million. Ownership of the Pride of America will be settled in January. The ship will continue to operate in Hawaii, until at least January of 2012, as previously announced. Star Cruises shares ownership of NCL with Apollo Management.

U.S. Coast Guard Searches for Passenger

The U.S. Coast Guard, along with Mexican officials is searching the waters near Cancun for a passenger who may have gone overboard from the Norwegian Pearl before 5 a.m. last Friday. A 36 year old woman was reported missing by her husband.

RCCL Gets Loan for Fifth Solstace Ship

Royal Caribbean has agreed to borrow up to $680 million to finance construction of a fifth Solstace class ship. The ship will be built at the Meyer Werft Shipyard in Germany and is scheduled for delivery in 2012.

News is courtesy of ARTA Online.

Lenders Extend Avis Budget Group Credit Lines

Avis Budget Group lenders have extended the $2.5 billion in credit lines until late 2009, easing investor concerns over liquidity during this economic turndown. The company said it is nearing a separate deal to ease operating standards it needs to remain in compliance with a $1.5 billion credit line. Debt-ridden car-rental companies have been pressured by lower demand and there have been concerns that they would have difficulty with their debts in the tight credit markets. The CEO of the Avis Budget Group said the deal would allow the company to buy enough cars to meet projected demand in 2009.

More Troubles with the Singapore Observation Wheel

More than 100 passengers on the wheel were stranded when a power disruption shut down the world's largest observation wheel for about six hours yesterday. Some of the passengers lowered themselves in a sling-like device on a rope from one of the capsules before the Singapore Flyer began turning again. The wheel is 165 meters tall and 30 meters higher than London's Eye. An observation wheel opened recently in Melbourne and wheels are being built in Beijing and Berlin.

Two ASA Flights Make Emergency Landings at Moline

The two flights had possible flap problems, which comes just days after the FAA issued another airworthiness directive on the flap issue. Both pilots received a warning light concerning possible wing flap problems. Ice could have been some of the problem.

Sun Country Makes a Turnaround

Sun Country Airlines has made a dramatic financial turnaround and will finish the year with a break-even quarter or better. The CEO is reimbursing employees today with 40% of their early October wage sacrifices. The airline filed for bankruptcy in October and made two rounds of wage reductions to cope with a cash shortage. Workers will receive the rest of the holdbacks in April with 3% interest for the use of their money. Sun Country stacked up losses of $7.8 million in the third quarter of last year. That was followed by a $17.8 million loss on $54.5 million in operating revenue in the final quarter. The new CEO cut back the fleet and unprofitable flights, raised passenger fees, and secured charter contracts, especially military flying. By the third quarter of this year, Gadek and the Sun Country employees had reversed the financial fortunes of the Mendota Heights-based carrier. They are to be congratulated for paying back the wages and paying interest to boot. Can you see any of the majors doing this?

Baggage Handlers in Delhi Threaten to Strike

Yesterday airport baggage handlers held a protest in opposition to a new baggage handling policy outside the headquarters of the Airports Authority of India in New Delhi. The new policy allows foreign firms to manage baggage handling at New Delhi's India Gandhi International Airport and Mumbai's Chhatrapati International Airport. Individual airlines were previously responsible for their own baggage handling. The workers have threatened to launch a strike on 31 December and a "mass casual leave" on 9 January 2009 if the policy is not reversed.

Germany Says Cruise Lines Should Avoid Gulf of Aden

The German defense minister warned tour operators that sending cruise ships through the Gulf of Aden was putting passenger's lives at risk. He said, "The German government has given a clear warning. The area is so dangerous that one mustn't use it for leisure activities. Those who sail there know they are putting the lives of these passengers at risk." There have been at least two incidents involving cruise ships in the last month and CLIA says that while it takes the situation seriously, piracy involving cruise ships is extraordinarily rare and member lines only traverse the Gulf of Aden within the prescribed Maritime Safety Protection Area which is patrolled by international anti-piracy task forces. The UN unanimously adopted a resolution that authorizes nations to use land and naval military force against the pirates operating in the area and there is a growing military presence. China, Germany, Russia and Italy have naval ships deployed in the Gulf of Aden protecting commercial ships and vessels carrying aid to Africa and ships have been sent to engage in combat operations against the pirates.

News is courtesy of ARTA Online.

Severed Cables Cause Internet Traffic Jams

Internet and telephone communications were severely disrupted Friday because of three damaged undersea cables in the Mediterranean. The cuts are located in the Med between Sicily and Tunisia on sections linking Sicily to Egypt and the cause of the cuts is unknown at this time. Repairs could not be started until today and they could take until December 31 to complete. In the meantime service is being rerouted through the US. 65% of traffic to India is down and services to Singapore, Malaysia, Saudi Arabia, Egypt, Taiwan and Pakistan have been severely affected. The cables are jointly owned by over 35 different countries. One is over 40,000 km long and links 33 different countries while a second is 20,000 long. The fact that three cables are down means calls and emails have to be rerouted to backup cables and satellites.

Las Vegas Plans Museum to Link Crime and Law

The city is allocating some $50 million to convert the old downtown federal courthouse and post office into the Las Vegas Museum of Law Enforcement and Organized Crime. Locals call it the Mob Museum which is fitting and a much shorter name. The mayor of Vegas has wanted such a museum because it was the mob who generated the development of the city and built the first casinos and if you want to learn more about the Mob take the Las Vegas Mob Tour next time you're in town.

New Wynn Hotel Opens Today In Vegas

The new $2.3 billion, 2,000 room Encore opens today in an extremely tight, tough market. The new hotel is a curved tower of bronze glass that is similar to the Wynn Las Vegas. Business in Vegas is way down as is lift into the city. October figures show a 26% drop in casino revenues and baccarat revenues were down 63%. Shares of Wynn Resorts have dropped about 66% since last February. It proves that timing is everything.

Investigators Have No Comment on CO Crash at Denver

The crash, which occurred Saturday night and injured some 38 passengers, is under investigation by the National Transportation Safety Board. So far they have given no indication as to what might have caused the crash. The pilots decided to abort the takeoff as they were rolling down the runway. Continental flight 1404 was bound for Houston and was attempting to take off at 6:18 p.m. when it veered to the left and skidded into a ravine. The plane had used about 1/3 of the runway. The two black boxes have been flown to an NSTB lab in Washington for analysis. Luckily everyone got out though 5 passengers remain hospitalized with one in serious condition and another in fair condition. There were 110 passengers and five crew members onboard the flight. There are, of course, plenty of theories about the crash floating around but nothing concrete as yet and weather was not a factor.

Airlines Reduce Fuel Surcharges but Tickets Cost the Same

An article in USA TODAY gives examples of the non change in the end ticket price. Last week British Airways and Virgin Atlantic announced they were reducing fuel surcharges but a chart prepared by FareCompare showed no changes in the end price. They just upped the price of the base fare with no notice. On December 1st United's cheapest ticket from Washington-Dulles to London for March 30 was $584 including a fuel surcharge of $290. On December 19, the same flight and date, the fuel surcharge was $238 but the final ticket price was, you guessed it, $584. The chart and article makes interesting reading and you can access it at http://www.usatoday.com/travel/flights/2008-12-21-airfares-ticket-prices_N.htm

JetBlue Faces First Union Vote

The airline has been free of labor unions since its inception in 2000 and has been able to keep costs below those of its major competitors. In January, JetBlue pilots are voting to form their own union to bargain over wages, benefits and other issues. The pilots are looking at Southwest's pilot's union as a model.

Kenya Airways Warns of Disruptions

Kenya Airways warned Friday that its operations could be disrupted in the coming days if a fuel shortage in the country doesn't ease. The country is suffering fuel shortages and the state-owned pipeline blames power outages at its pumping stations for the problem. The airline indicated that if the situation doesn't improve over the weekend it would severely affect operations and they were doing their upmost to maintain their schedule.

Turkish Airlines Adds First Class

The airline said it had leased three Boeing 777-300ER aircraft for its long-haul flight from Jet Airways These three planes will be reconfigured with 8 first class, 30 business class, and 274 economy seats. The First Class seats will convert into beds with a full 180 degrees. The 777s will initially operate the airline's Singapore, Hong Kong, London, New York and Tokyo routes.

Oasis of the Seas Schedules Two Extra Inaugural Sailings

Royal Caribbean has scheduled two additional inaugural sailings of their latest and largest ship scheduled for service next December. The ship was scheduled for its first sailing on December 12 and those booked on that sailing can change it to either a 4 night mini-cruise sailing on December 1 or a seven-night Eastern Caribbean cruise sailing December 5 or can take both. If they take both they will be re-accommodated in the same cabin and category and will receive a $200 shipboard credit or $300 if they have a suite. They must rebook by January 12 when booking opens to the public. Booked guests who wish to take either the December 1 or 5 sailing will be re-accommodated in the same stateroom and category. The cost for the 7 night sailing will remain the same and if taking the 4 night, it will be prorated.

News is courtesy of ARTA Online.

Dubai Hotel to Offer Refrigerated Beach

With all the money that has poured into Dubai lately, refrigerating a beach is way over the top. It is, of course, a world's first and will be located next to the new Palazzo Versace hotel. The project will include a system of heat-absorbing pipes built under the sand and giant wind blowers, designed to keep tourists cool in the 120 to 130 degree heat. The hotel, which is due to open next year or early 2010, will be controlled by thermostats linked up to computers and feature a cooled swimming pool. Not everyone agrees with this project which has been criticized by many who are concerned about the potential impact on climate change. The president of the hotel said, "We will suck the heat out of the sand to keep it cool enough to lie on. This is the kind of luxury that top people want." The builders had better have their financing in place because Dubai is facing many of the same problems the rest of the world now has. There have been massive job cuts in Dubai's hospitality and tourism industry. Massive layoffs have occurred in real estate, housing prices have dropped and there is a surplus of houses in the marketplace.

Gondola Maker Will Issue Safety Warning

The maker of the gondola tower that split apart earlier this week at Whistler said they would issue a North America-wide warning to other resorts about the potential safety hazards of similar systems. The tower snapped as a result of "ice jacking." This is similar to what happens to a bottle of pop left in the freezer. Water seeped into a container designed to be water-tight which froze because of colder than normal temperatures and expanded, rupturing the structure. Several people were injured but no cable cars detached from the line. The Doppelmayr is one of the world's leading manufacturers of gondolas and the warning will be distributed to all those who purchased them.

Delta Announces Los Angeles to Sydney Route

Yesterday Delta announced it plans to enter the Los Angeles Sydney Market with daily service starting in June. Delta will compete against Qantas, United and V Australia. V Australia starts Los Angeles Sydney service in late February and has introductory fares starting at AUD$1,200 return including taxes and fees. Delta is offering LAX to Sydney one-way for $730 including taxes. Tickets are on sale for both Delta and V Australia. The two airlines are flying the Boeing 777 on the route. Finally we are seeing some competition on the route which should help to keep fares lower and increase tourism to Australia. With its flight to Australia, Delta will be the only US carrier to fly to all six continents. The airline also announced it will fly three times a week between Los Angeles and San Paulo beginning May 21.

Airlines

Southwest's CEO commented that the airline could add flights to a third major US airport as early as next fall, following the addition of Minneapolis and LaGuardia. Spirit Airlines announced service to Medellin starting March 1 with one daily roundtrip from Fort Lauderdale. It is the airline's third destination in Colombia. Connections will be available from 16 US cities. The route must be approved by the Colombian government. Frontier has adopted an a la carte form of pricing, allowing customers to choose from three models, Economy, Classic and Classic Plus, similar to that of Air Canada. Book economy and you pay for everything from seat assignments to checked baggage and entertainment but you do earn 100% of miles flown. Classic offers advance seat assignments, no fee for the first two checked bags and DirectTV but you pay for snacks and premium beverages and change fees drop to $50 and you earn a 25% bonus for miles. Classic Plus takes you back to the good old days when the ticket included everything and there are no change fees or stand by fees and you earn a 50% mileage bonus. It will pay to compare the fares.

Newark to Test New Technology to Reduce Flight Delays

Newark will be the first major airport to test the new technology aimed at reducing chronic flight delays. The Ground Based Augmentation System uses GPS instead of radar to pinpoint aircraft positions and officials hope it will reduce congestion by allowing planes to fly closer together without compromising safety. The system is made by Honeywell and will cost the Port Authority about $2.5 million. Continental said it would cost the airline about $1 million to outfit 15 planes with satellite navigation.

NCL Reaches Agreement with French Shipyard

NCL and France's STX France Cruise SA shipyard have reached an agreement over their contract. They are moving ahead with the construction of the F3 project but only one ship will be built. The ship will carry 4,200 passengers and will be 150,000 tons. The shipyard will use the original hull which is already under construction and delivery has been scheduled for late May 2010. We should be hearing more about the F3 in the near future. You can also check out the ship at http://www.f3.ncl.com/ 

Holland America to Double Bermuda Cruises in 2010

The cruise line had announced earlier it would be returning to Bermuda with 11 cruises in 2010 but now it will expand that number to 24, beginning on April 25, 2010. The Veendam will sail between New York to both Hamilton and St. George's, spending about 2 1/2 days in each port. The ship is the right size to dock in the centre of each town.

Atlantic City Gets High-Speed Train

Atlantic City is getting a high-speed rail service, weekends only, from New York's Penn Station. The service starts on February 6 and stops in Newark in both directions. Train cars will be equipped with leather seats and food and beverage kiosks in coach. First class will have an upper deck car with wait staff. Fares start at $50 for a coach seat and $75 for a first class seat one-way. A shuttle service takes passengers between the train station and several hotels.

UN Sanctions Land Attacks on Pirates

The UN Security Council unanimously passed a resolution Tuesday that authorizes nations to use land and naval military force against pirates operating off the Horn of Africa. On that same day pirates seized four vessels in the Gulf of Aden. This amounts to a major escalation in the battle against the pirates. The UN again asked for help from member countries and organizations to bring the pirates to justice. China is the latest member to agree to send naval vessels to the area.

Hotel Projects Abandoned in Various Stages of Development.

Throughout the US hotel projects are shutting down. Smith Travel Research said 93,219 guestrooms have been abandoned in various stages of development from pre-planning to already under construction. Some 39,887 guestrooms were dropped in November of last year.  The Smith Report said, "We believe that we will continue to see this high level of abandonment through at least the first half of 2009 and until new funding for new and existing projects is made available by lenders, there is little reason to believe that the rate of abandonment will slow."

France's Top Hotels Can Now Apply For Five-Star Rating

French hotels are currently limited to four-stars by the government. The future classifications will go from one star to five stars, eliminating the 0 star category. The current categories have been in place for the past 22 years. The government is also looking at a five-star premium rating for some of the country's internationally renowned luxury hotels in Paris or the French Riviera.

Las Vegas Gets 3.6" of Snow

A rare pre-winter storm brought Las Vegas its heaviest snowfall in almost thirty years. The airport was forced to close as well as some freeways as snow weighed down the palm trees. The city got snow yesterday and again this morning. The airport doesn't have de-icing equipment or fluids to cope with the snow and freezing weather. The weather doesn't look too good for the weekend either in other parts of the country.

United Launches Sale of Travel Options

United is having a sale on travel options but you had better hurry if you want to take advantage of it. Economy Plus seating is 30% off. These are the seats with 5 extra inched of legroom and the sale ends tonight. Door-to-door baggage service is 45% off until January 15 as is Red Carpet Club One-Time Passes which are 20% off.

Argentina's Senate Votes for Takeover of Aerolineas Argentinas

The Senate has given final legislative approval to the government takeover of the Spanish-owned airline and its subsidiary Austral Lineas Aereas. Both airlines were owned by Grupo Marsans of Spain who have vowed to fight the takeover.

Oneworld Offers Round-The-World Tickets on New Web Site

The Oneworld alliance is the first to offer multi airline round-the-world air tickets online with its new internet booking tool for its Oneworld Explorer fare. The new online booking tool is available at oneworld.com. Alliance members will add the booking tool to their own web sites or provide links from their sites. The system has a number of special features to make it as simple as possible for customers to plan a round-the-world trip and validates that the itinerary meets all the fare rules and conditions, and then provides pricing. There can be up to 16 segments in the itinerary. The price is based on the number of continents visited, from three to six, and not the mileage flown. It covers flights worldwide by all Oneworld member and affiliate airlines.

V Australia Confirms Launch Date

V Australia, the international long-haul subsidiary of Virgin Blue, has confirmed its launch date of February 27 for its first 777-300 ER three times weekly service between Sydney and Los Angeles. The first flight was to have taken place this week but was postponed because delivery of the new plane was held up by the strike at Boeing.

American and United Offer to Fund O'Hare Runway Project BUT…

The two airlines are not playing Santa though as they want something in return. The two agreed they will support construction of additional runways but they want to extend the deal they now have to maintain control of the majority of airport slots. That agreement runs through 2018 and specifies what rights the carriers have to gates at O'Hare and how much they have to pay for them. Virgin America dropped plans to fly to O'Hare when the only slots available were in the airport boondocks. The city also wants a new terminal but the airline are not willing to help pay for it.